{"data":{"id":"us-ok/okla.-stat.-tit.-36-36-1216","jurisdiction":"us-ok","citation":"Okla. Stat. tit. 36, § 36-1216","heading":"Prohibitions and regulations concerning use of certain","body":"types of policy forms, policy provisions and annuity contracts.\n\nIn accordance with the purpose expressed in Section 1 of this\n\nact, the use of certain types of policy forms, policy provisions and\n\nannuity contracts shall be subject to the following prohibitions and\n\nregulations:\n\n1. No life insurance policy or annuity contract containing a\n\nseries of guaranteed annual endowment benefits evidenced by coupons,\n\npassbooks or similar devices generally identified with investment or\n\nbanking operations shall be approved for use, and no such policy or\n\ncontract heretofore approved shall be issued or delivered in this\n\nstate after January 15, 1974;\n\n2. No life insurance policy or annuity contract containing a\n\nseries of guaranteed annual endowment benefits shall be approved for\n\nuse and no such policy or contract heretofore approved shall be\n\nissued or delivered in this state after January 15, 1974, unless the\n\nfollowing requirements are satisfied:\n\na. the gross premium for the guaranteed annual\n\nendowment benefit shall be shown conspicuously and separately in the\n\npolicy, distinct from the gross premium for the life insurance\n\nbenefits and, unless the gross premium is so prominently and\n\nseparately shown on the schedule of benefits and premiums page in\n\nthe policy, the language shall be sub stantially in the following\n\nform: \"The premium shown includes an additional (annual, semiannual,\n\nquarterly, monthly, etc.) premium of $_____ for endowment benefits,\"\n\nb. the insured shall be entitled to withdraw the\n\nguaranteed annual endowment benefits not less frequently than at the\n\nend of each policy year. The number of one-year guaranteed\n\nendowment benefits shall equal the number of annual premiums for\n\nsuch benefits unless the insurance contract clearly and distinctly\n\nprovides otherwise,\n\nc. payment of any guaranteed annual endowment\n\nbenefits shall not be made contingent on the payment of premiums\n\nfalling due on or after the time the guaranteed annual endowment\n\nbenefit has matured,\n\nd. the separately stated gross premium for the\n\nseries of guaranteed annual endowment benefits shall be based on\n\nreasonable assumptions, consistent with the basic policy form as to\n\ninterest, mortality and expense,\n\ne. the guaranteed annual endowment benefit shall be\n\nexpressed in dollars, both in the policy and in any sales or\n\nadvertising material relating thereto, and not as a percentage of\n\nany premium or benefit,\n\nf. no guaranteed annual endowment benefit shall be\n\ndescribed, either in the policy or in any sales or advertising\n\nmaterial, as anything other than a guaranteed benefit for which a\n\npremium is being paid by the policyholder, and\n\ng. at the time the policy form is filed with the\n\nInsurance Department for approval, said policy form shall be\n\naccompanied by all sales, advertising or other material which the\n\ninsurer proposes to use in connection with the sale of such policy;\n\nsuch sales, advertising or other material shall be approved by the\n\nState Insurance Commissioner.\n\nNothing in this subsection shall apply to any policy in which the\n\namount of any endowment or periodic benefit or benefits payable\n\nduring any policy year is greater than the total annual premium for\n\nsuch year;\n\n3. No coupon policy shall be approved or issued in this state\n\nafter the effective date of this act, nor shall any coupon policy\n\nheretofore approved be issued or delivered in this state after\n\nJanuary 15, 1974;\n\n4. No profit-sharing policy shall be approved for use in this\n\nstate after the effective date of this act, nor shall any profit-\n\nsharing policy heretofore approved be issued or delivered in this\n\nstate after January 15, 1974. Nothing contained in this section\n\nshall apply to variable annuity contracts to the extent that such\n\nare permitted under the laws of this state.\n\nThis subsection shall not be construed to restrict or prohibit\nve date of this act, nor shall any profit-\n\nsharing policy heretofore approved be issued or delivered in this\n\nstate after January 15, 1974. Nothing contained in this section\n\nshall apply to variable annuity contracts to the extent that such\n\nare permitted under the laws of this state.\n\nThis subsection shall not be construed to restrict or prohibit\n\nthe sale in this state of any participating life insurance policy\n\nwhere the dividend or abatement of premium is derived solely from\n\nthe profits of that class of participating business;\n\n5. No charter, founders or coupon policy or policy with a name\n\nof similar connotation shall be approved for use in this state after\n\nthe effective date of this act and no charter, founders or coupon\n\npolicy or policy with a name of similar connotation heretofore\n\napproved shall be issued or delivered in this state after January\n\n15, 1974; and\n\n6. No annual endowment shall be described as being a\n\nguaranteed dividend, nor as earnings on the premium investment.\n\nNothing in this section shall be construed to prohibit a\n\nrepresentation that a holder of a participating life insurance\n\npolicy or annuity contract will participate in the share of the\n\ndivisible surplus, if any, apportioned to the policy or contract by\n\nthe insurer.","path":["OK Code","Title 36"],"source_url":"https://www.oklegislature.gov/OK_Statutes/CompleteTitles/os36.pdf","current_through":"2026-08-14","vintage":"open-us-law v2026.08, retrieved 2026-09-14","retrieved_at":"2026-09-14T18:32:36Z","sha256":"9f5d420294181f3c334d496dd7ade3393231336c1516eb033980dfacfa7f371c","source_id":"us-ok","stale":false,"prev":"us-ok/okla.-stat.-tit.-36-36-1215","next":"us-ok/okla.-stat.-tit.-36-36-1217"},"notice":"GroundRules: Original legal text. Not legal advice."}